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Application Service Providers Taurean Dossett T_Dossett@hotmail.com Management Information Systems Professor Sistrunk MWF 1-1:50 Table of Contents Definition 3 History 4

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application service providers

Application Service Providers

Taurean Dossett

T_Dossett@hotmail.com

Management Information Systems

Professor Sistrunk

MWF 1-1:50

table of contents
Table of Contents
  • Definition 3
  • History 4
  • Sub-categories 5
  • Advantages vs. Disadvantages 6
  • Commonly Used ASPs 7
  • Future of ASPs 8
  • Conclusion 9
  • End Notes 10
  • End Notes cont… 11
definition
Definition
  • Application Service Provider
    • A third party entity that manages and distributes software-based services and solutions to customers across a wide area network from a central data center1
history
History
  • In 1994, the Internet began its boom2
  • As technology developed, software became one of the easiest ways to keep up with progress
  • Yet, the software became more specialized and therefore more expensive to purchase
  • The software was also more expensive and complicated to maintain3
subcategories
Subcategories
  • Enterprise ASPs- deliver high end business applications
  • Local/Regional ASPs- deliver business applications to local small businesses
  • Specialist ASPs- provide applications for specialized services such as human resources
  • Vertical Market ASPs- provide support to specific industry such as healthcare
  • Volume Business ASPs- provide prepackaged applications for businesses in high volume4
advantages vs disadvantages
Advantages

Low cost

Simplifies business activities

Pay-As-You-Go system

Eliminates expensive IT infrastructures

Reduces head count5

Disadvantages

ONLY for businesses with exceptionally frequent use of applications, the cost at Pay-As-You-Go can be expensive

Advantages vs. Disadvantages
commonly used asps
Commonly Used ASPs
  • Webhosting.com- provides webhosting services at monthly rate
  • Hotmail.com- provides email services for free or at monthly rate
  • Efax- provides software that allows faxes to be sent to email boxes
  • DoubleClick- manages online advertising for businesses6
future of asps
Future of ASPs
  • ASPs represent one of the most innovative improvements in technology since the creation of the Internet
  • As more businesses use the technology, it will lead to cheaper means of running businesses
  • ASPs have made it possible for small businesses to compete in areas that it was too expensive for them to do so before
  • ASPs are tending towards wireless services in that cell phones and other electronic devices will be able to access specialized software for various functions anywhere and at anytime7
conclusion
Conclusion
  • ASPs are the medium through which much of the technological advancement in business is occurring
  • This is evident in the recent focus on outsourcing as well as companies developing ASP consulting divisions
  • ASPs have allowed for increased competition and are therefore reducing prices by not only reducing costs for companies, but also increasing competition in industries by reducing barriers of entry
  • ASPs have played a vital role in the health of business and will continue to do so by providing more complex and innovative forms of services in the future8
end notes
End Notes
  • 1. "What is an Application Service Provider?" Webopedia. 2004. 23 Oct. 2004 <http://www.webopedia.com/TERM/A/Application_Service_Provider.html>.
  • 2. Brain, Marshall. "How ASPs Work" How Stuff Works. 2003. 23 Oct. 2004 <http://computer.howstuffworks.com/asp.htm>.
  • 3. Dossett, Timothy. Telephone interview. 24 Oct. 2004.
  • 4. "What is an Application Service Provider?" Webopedia. 2004. 23 Oct. 2004 <http://www.webopedia.com/TERM/A/Application_Service_Provider.html>.
end notes cont
End Notes cont...
  • 5. Brain, Marshall. "How ASPs Work: Advantages of ASPs." How Stuff Works. 2003. 23 Oct. 2004 <http://computer.howstuffworks.com/asp3.htm>.
  • 6. Brain, Marshall. "How ASPs Work: Examples of ASPs." How Stuff Works. 2003. 23 Oct. 2004 <http://computer.howstuffworks.com/asp4.htm>.
  • 7. Dossett, Timothy. Telephone interview. 24 Oct. 2004.
  • 8. Dossett, Timothy. Telephone interview. 24 Oct. 2004.